8 Ways DIY Accounting Costs More Than It Saves

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8 Ways DIY Accounting Costs More Than It Saves
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• No matter how much they hate it, small business
  owners tend to do their own accounting. Theyll
  tell you theyd love to hire a bookkeeper, but
  they just cant justify the expense.

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• What they dont take into consideration is all
  the ways a professional CPA can cut business
  expenses, take advantage of savings opportunities
  and avoid costly mistakes. Heres what having a
  good accountant can do for you

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1. Find more tax breaks.

• A good business accountant will claim expenses
  you may not have known were deductible. They can
  also advise on the timing of major purchases to
  take full advantage of tax credits and
  depreciation.

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2. File taxes on time.

• Late returns and other compliance paperwork will
  incur penalties and interest.

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3. File accurate taxes.

• Under-reporting how much you owe could lead to
  big trouble with the IRS, as well as state and
  local authorities if you collect sales tax.

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4. Send invoices out on time.

• An accountant will help you avoid a cash flow
  crisis by keeping up to speed with invoicing.

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5. Track late payments.

• Well-kept books should show you at a glance what
  youre owed and when its due. No more need to
  spend time and money on collections efforts.

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6. Eliminate data entry errors.

• For the DIY bookkeeper, figuring out and fixing
  the mistake could take hours which the small
  business owner could spend more profitably
  elsewhere.

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7. Provide information for smart business
decisions.

• You should be able to spot right away when
  theres an issue with cash flow, inventory, or
  profit margin, and take early corrective action.
  On the flip side, your accountant can point out
  opportunities for growth or reducing unnecessary
  costs.

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8. Free you up to add value to your business.

• Is it really a smart use of your time to be
  doing data entry, tracking invoices/payments,
  reconciling bank accounts and control accounts,
  processing payroll, managing inventory, preparing
  tax documents, and so on?

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But I still cant afford an accountant

• The benefits may be clear, but most
  owner-managers just dont have the budget to add
  a full-time professional accountant. As small
  business specialists, we understand your
  position. Thats why we offer affordable monthly
  plans that cost less than half of what a
  traditional accountant typically charges (in a
  couple of hours!).

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How to make the best use of your accountant

• When you hire a professional consultant, you
  want to take advantage of the teams expertise in
  showing you how to save money and make your
  business more profitable. Youd rather not have
  them spend all their time on routine tasks.

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• Thats why Xendoo uses state-of-the-art
  software that automates many such tasks, from
  entering sales transactions directly from your
  bank into your books, to coding each entry as it
  happens so theres no last-minute rush at tax
  time. Your accounting team is free to provide you
  with valuable advice, and youre free to focus on
  your core business. Not to mention getting a good
  nights sleep.